Cryptocurrency prices have been significantly impacted, with Bitcoin, Ethereum, XRP, Dogecoin and Solana all suffering significant losses. After briefly hitting an all-time high of over $108,000, Bitcoin fell 7% in a single day to $97,000. Ethereum fell almost 12%, trading at $3,422, while XRP saw a similar decline, down 11% to $2.22. Dogecoin, the popular meme coin, fell 20%, reaching $0.31. Solana, another major altcoin, fell below $200, down 12% to $191. These losses are part of a broader correction in the crypto market, which saw the entire sector fall 9%.
The slowdown comes after Federal Reserve Chairman Jerome Powell’s recent remarks on inflation projections for 2025 spooked markets. Powell’s comments that inflation could be higher than expected and the likelihood of interest rates remaining high for longer led to a sell-off in risk assets, including cryptocurrencies. Meme coins like Dogecoin, known for their sensitivity to macroeconomic news, have been particularly affected. Dogecoin price fell 12.4% and trading volume jumped 67%, indicating panic among holders. Despite this, Dogecoin remains one of the largest cryptocurrencies by market capitalization, valued at $46.6 billion.
The market also saw massive liquidations, with over $1.2 billion in crypto positions wiped out in just 24 hours. Long positions accounted for the bulk of the liquidations, totaling $1.07 billion. The largest liquidation order, which occurred on Binance, was worth almost $16 million. Additionally, Binance saw $83 million in outflows, showing a broader trend of selling pressure on exchanges.
Other cryptocurrencies, including XRP and Cardano, also suffered substantial losses. XRP, for example, saw a 10% decline, while Cardano lost 15.7%. These declines were part of a broader downturn that affected most of the altcoin market. Meme coins like Shiba Inu and Bonk also saw significant losses, down 23.3% and 22.5%, respectively.
Despite the massive sell-off, some altcoins continue to attract attention. A notable exception is Fartcoin, a meme coin that gained 71% last week and 323% for the month. However, these gains are rare and the general sentiment in the crypto market remains bearish. As Bitcoin has fallen below $100,000, the market as a whole is showing signs of vulnerability and analysts are closely monitoring further developments.
